05_Preread_StoreStrategy

Key shifts of general retail market (cont’d)

Key shifts

Key drivers

Implications

✓

Price wars and discounting were the main levers

Gen Z values

Private label and premium ranges coexist; ethical sourcing and brand values matter more

Price-Led Competition → Value & Purpose Led

Consumers want value, not just low prices, including quality, sustainability, convenience, ethics

✓

5

ESG awareness

✓

Rising affluence in many markets

Global brands often rolled out universal formats/products

✓

Diverse consumer expectations

Global Trends → Local Relevance

6

Hyper-local strategy wins — “think globally, act locally.”

Retailers need to localize assortments, formats, payment methods, and even tone of voice

✓

Cultural nuances

✓

Local competition

✓

Rigid supply chains planned far in advance

Geopolitical disruptions

Linear Supply Chains → Agile, Responsive Networks

Agility in sourcing, forecasting, and fulfillment is a core competency

Dynamic, responsive networks that adapt to demand spikes, delays, and consumer feedback in real time

✓

7

Digital supply chain tech

✓

Fast logistics models

✓

Big-box and flagship stores were central to growth

Urbanization

Store-First Formats → Format Fluidity

Retail must be flexible with space, capex, and operating models

Retailers deploy a mix of formats, each serving different needs Flagship, pop-up, express, click-and-collect, unmanned stores etc.

8

✓

Consumer mobility

✓

Real estate shifts

5

Source: broker reports, public articles

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